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Forums - Sony - Sony on the brink of corporate upheaval, drastic changes

Khuutra on 05 January 2009

I just want to know where Ueda and the rest of Team ICO would go.

At heart, that's all I really care about. I will follow them onto any console.



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SMcc1887 on 05 January 2009

@BengaBenga

I cant see Activision/EA etc purchasing anything in these dire times. They aren't doing great either



JGarret on 05 January 2009

Benga, how badly could the PS brand getting canned damage the industry as a whole?



goddog on 05 January 2009
NJ5 said:
goddog said:
NJ5 said:
bardicverse said:
We already know that Sony is closing its Walkman division, officially bowing out to digitally distributed music. I would expect their home computer division to fold also, with the dominance of Dell, HP and Apple in the computer/laptop markets.

After the success of the PS2, I doubt that Sony would outright kill off its gaming division just because of misfortune with the PS3. They WOULD be smart to terminate some of their exclusivity contracts though. Its a luxury they can't afford right now.

Where did you read about Sony discontinuing the walkman products?

Didn't Sony recently finish buying BMG Music? It would be quite weird to sell it right after buying it...

 

 

if you remember in the early 90s, kamart bought and sold boarders, walden books, office max, payless drurgs. each was oowned from 2 to 5 years....

 

 

I think they are very likely to sell at minimum stakes in sony BMG, but i see sony ericeson as the bigger sacrifical cow

How much can selling Sony Ericsson really helping them?

First of all, it's not based in Japan, while the article makes it seem like Japan operations would be the most affected. That also means it's not affected by the lousy exchange rates. Thirdly, it really isn't losing any great amount of money... $18 million in one quarter is nothing.

Granted, I have no idea how Sony Ericsson will do in this holiday quarter. I'm guessing cellphone sales aren't too hot these days, but then again what products are selling well these days?

 

well its more of an ending of a partnership, and the reduction in head count is baddly needed. it could also free up some more cash as the debt on hand is 6b more then avalible cash, and they need the liquidity with the loan market being so bad, S&E also has the misfortune of being a smaller part of sony overall and dose not have the history of great profit so percived loss of that division will be smaller then others.

sony bmg, selling a stake will keep revenues coming, but allow for more cash on hand

 



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minecraft name: hansrotec

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BengaBenga on 05 January 2009
SMcc1887 said:
@BengaBenga

I cant see Activision/EA etc purchasing anything in these dire times. They aren't doing great either

 

EA had the money to buy Take2.

These Western comapnies aren't hurt by a weak Yen and don't have the burden of hardware losses. Sure EA isn't doing too well, but Activision and Ubisoft are. Besides it won't be hard to convince any shareholder that investing in Santa Monica or Polyphony Digital is a smart idea.

 



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theprof00 on 05 January 2009

Saying sony will terminate PS brand is ridiculous.
Reasons:
1)iSupply also expects them to break even on production sometime this year. 2) IPs are the most profitable market for sony atm, which they also said they are going to be focusing on.
3) Gaming is expected to lead the tech sector in 09.

All signs point to Sony pouring more money in game development and axing a bunch of needless, soon to be outdated or unpopular tech:

UMD movies
CD and DVD plants
Ericcson deal
Sony walkman + discman

Note that all of these will be heavily region restrictive and will continue to be manufactured in many areas.



goddog on 05 January 2009
SMcc1887 said:
@BengaBenga

I cant see Activision/EA etc purchasing anything in these dire times. They aren't doing great either

 

ah but other companies could, apple has 25b and is debt free looking to blow some money like a sailor on shore leave, rumors have it they were looking at RIM, but SCE might be enough just for the IPs and if jobs stays on a bit longer  maybe his touch can turn the console war around remember he is magic.



come play minecraft @  mcg.hansrotech.com

minecraft name: hansrotec

XBL name: Goddog

BTFeather55 on 05 January 2009

Now I finally understand why Sony hasn't been doing so well the last few years. Apparently the president of the company is British. That explains everything.



Heavens to Murgatoids.

jerry on 05 January 2009

SCEJ should be canned....they have done NOTHING this gen.



BengaBenga on 05 January 2009
JGarret said:
Benga, how badly could the PS brand getting canned damage the industry as a whole?

 

Very bad.

Developers and publishers with projects (let alone exclusive ones) for PS3 will be screwed. Sure the existing userbase will still be there, but it's not very big and the cancellation of the console will definitely lead to less software sales as retailers will decrease the amount of space for PS3 games.

It will be bad for the image of the industry as well, leading to less interest from investors and less access to much needed loans.

Obviously Nintendo and Microsoft would gain from it, but they're really the only ones.

I don't see it as the #1 or #2 in likelyhood, but the more I think of it the more I find it impossible to disregard the idea.